Reconnaissance Energy (Africa) Ltd V.RECO

Geological COS and chance of development risk

[Psychdoc]

https://reconafrica.com/wp-content/uploads/Sproule-Report-ReconAfrica-July-2020.pdf

What are thoughts on Sproules geological chance of discovery and chance of development risk? (Discussion page 6,10 and 11 in above link)

They certainly describe much lower numbers than I excpected with Bill Catheys and Jarvies statements about the project.

[Hiddensecrets]

It means that Sproule will have to adjust his report MATERIALLY upwards when RECO.V confirms to them that the basin has a petroleum system in place.   Report upgrade in January 2021.   Jarvies stated that the key is rock source and, RECO.V has this source rock.    Jarvies stated that if you do not analyze the rock source then you will miss the discovery.   

[Elephants]

A couple things on this that have been discussed before. The key issue is the limited amount of data the Sproule identifies and is not in dispute. Because they have limited information Sproule must use more conservative numbers. Once the first well is drilled there will be a better sense on the play and, if correct, the price will sky rocket. If incorrect, there may still be commercial O&G but

[Letsmake1]

Elephants you are a champion...Everytime you explain this it helps me sleep more soundly and wake with great excitement for this venture. GLTA

[piperinger6]

Saved this post for myself to read when a small doubt is starting to build up in my head. 

[fredo1]

That was a great post and well worth saving.

[Redrum180]

Warrants' time frames could be amended; not sure about exercise prices though.  Just thought I'd throw that into the wash. Mark

[Goaweigh]

I've only seen them extended, usually when a Co. is broke and the warrants are under water and it's usually just a BS ploy to lead investors to believe there is still some hope, I haven't seen many, if any, Co.s actually go up high enough that those extended warrants were exercised.  But that's hardly the case here. Warrants or no warrants we are seeing some profit taking